City officials will decide whether to create a new position that
would work directly with the Gilroy Economic Development
Corporation to bring more businesses to Gilroy.
City officials will decide whether to create a new position that would work directly with the Gilroy Economic Development Corporation to bring more businesses to Gilroy.
The position, referred to unofficially as an “economic ombudsman” or “EDC ombudsman,” would hold prospective business owners’ hands through a sometimes lengthy process of permits and applications that comes with opening shop in Gilroy, City Administrator Tom Haglund said.
The city – which sits on a reported $21.4 million reserve – won’t make its mind on the ombudsman position until it sifts through its budget later this spring, Haglund said.
The Gilroy City Council and city officials are already expected to discuss whether to contribute $40,000 to allow the Gilroy Downtown Businessman Association to a hire a part-time executive director for two years. The Council will hold two public study sessions regarding its budget Monday, May 9 and Wednesday, May 11. Both study sessions are scheduled for 6 p.m. at the Council Chambers at City Hall.
Council members met with EDC representatives Feb. 28 to discuss whether the city would be willing to fund as much as $180,000 of the EDC’s $200,000-plus budget. The ombudsman position was not discussed then.
EDC Board Chairman Kurt Michielssen said then he felt Council members Bob Dillon and Mayor Al Pinheiro – who serve on the EDC board – already played ombudsman-type roles. EDC Interim President Tammy Brownlow said there were some concerns the ombudsman’s duties would overlap with what the EDC already does.
Haglund said there wouldn’t be any overlapping between the ombudsmen position and the EDC. Once the EDC entices businesses to take interest in moving to Gilroy, it “hands off” the process to the city, Haglund said. From there, representatives from that business often bounce around from department to department, asking questions and filling out paperwork, Haglund said.
With an ombudsmen, businesses would meet directly with that person, who would assist them through issues regarding city water rates, sewer rates, impact fees and other aspects, he said.
“It wouldn’t be redundant to what the EDC is doing,” Haglund said. “When that hand-off occurs, we need an articulated, efficient way to handle the process. The ombudsman needs to take that application and be that central point of contact. We want to be able to respond quickly and effectively.”
Michielssen said the EDC already handled some of those tasks, but an ombudsman taking care of those issues could allow the EDC to spend its time focusing on business retention and marketing.
“It is something that can be a good partnership,” he said.
Haglund said the ombudsman also could work with other partner agencies on state or federal grants for city infrastructure issues. The position likely would make reports to the Council and work under Haglund directly.
In terms of that position’s salary, Haglund said, “We haven’t gotten that far.”
City Councilman Peter Leroe-Muñoz said that if the economy improves over the coming months and years, having an economic ombudsman could be beneficial for the city.
“If we’re going to position ourselves to take advantage in a rebound economy, I think it’s a good idea,” he said.
